FATF status

Ireland is not on the FATF List of Countries that have been identified as having strategic AML deficiencies

Compliance with FATF Recommendations

The last Follow-up Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Ireland was undertaken in 2022. According to that Evaluation, Ireland was deemed Compliant for 17 and Largely Compliant for 17 of the FATF 40 Recommendations. It remains Highly effective for 0 and Substantially Effective for 5 of the Effectiveness & Technical Compliance ratings.

Corruption is not a significant issue for foreign investors in Ireland, as the country has robust anti-bribery legislation, including the Criminal Justice (Corruption Offences) Act of 2018, which imposes severe penalties for corruption-related offenses. While bribery risks exist at the local level, particularly in public procurement, the government is actively working to enhance transparency and accountability through ongoing reforms and the introduction of a new comprehensive anti-corruption law. Ireland is also a signatory to international conventions aimed at combating corruption, demonstrating its commitment to addressing these issues.

Ireland's economy faced a recession in 2023, marking its first decline since 2012, primarily due to a contraction in exports from the pharmaceutical sector. Despite this setback, GDP is projected to grow by 1.2 percent in 2024, supported by a strong employment rate of 4.5 percent and a record 2.71 million people employed in 2023. The country remains an attractive destination for foreign direct investment, particularly from the United States, thanks to its educated workforce and favorable business environment.

Ireland has actively promoted foreign direct investment (FDI), successfully attracting numerous U.S. companies, particularly in sectors like pharmaceuticals, technology, and financial services. The corporate tax rate, previously at 12.5%, has been raised to 15% in January 2024, aligning with OECD guidelines, but the country remains appealing due to its skilled English-speaking workforce, political stability, and access to the EU market. However, challenges such as high operating costs, a burdensome planning permit system, and energy supply concerns may impact future investment attractiveness.